Weekly ‘MONEY TIMES TALK’
- EP News Service
- Dec 07, 2020
We are excited to bring to you a weekly column ‘MONEY TIMES TALK’ a very popular round up of stocks / equity markets (BSE / NSE) live news and updates and subtle recommendations from Money Times.
> Infrastructure major, NCC, has received new orders of Rs. 848 cr. for its Water division and three orders worth Rs. 3057 cr. for the Construction division to be executed between 18 and 24 months. Positive for the Company. Add
> State owner and iron ore miner, NMDC, reported 13% jump in production to 3.32 MMT (YoY) for Nov 2020. Rising sales volumes and price along with the proposed buy back augurs well for its share price rise.
> An Ahmedabad analyst recommends to buy ABM Knowledge, Aimico Pestcides, Cupid, India Gelatine, IOL Chemicals, Jayshree Tea, Kabra Extru, Mahalaxmi Rubtech, Olectra Green, Patels Airtemp, T N Petro and Uttam Sugars.
> Adani Ports during last month handled a cargo volume of 24 MMT, which will go a long way to boost its profitability. Add on every decline.
> Divis Laboratories, which sells its products in 55 countries, has posted 56% jump in Q2 earnings. It is also on the verge of starting its third plant in Andhra. A decent buy at current prices.
> M&M has reported 55% higher sales of Tractors. According to the management, demand continues to remain robust. This can propel the share price. Add.
> Granules India is rising on reports of a global equity firm eyeing a controlling stake. Last quarter, its NP rose by about 70%. Risk bearing investors may enter with a strict stop loss limit.
> Sequent Scientific, into animal healthcare, has won approval for its Halofusol Oral Solution for the prevention and reduction of diarrhoea in new-born calves. This company has many products in the pipeline and is a good buy.
> VST Tillers Tractors’ consolidated net profit soared 369.3% to Rs 29.94 cr. on a 37% rise in Q2FY21 sales. Around Rs. 1930, this share is still a good buy.
> Spicejet with its cargo arm Spice Express to offer logistics support for the delivery of Covid vaccines. It has already tied up with global leaders of cold chain solutions for its seamless cold chain operations. A big business opportunity. Add.
> Avanti Feeds witnesses a rising demand on the improved prospects of the Shrimp industry. At Rs. 535, this share is way below its year high of Rs. 770. Avanti is a good long term buy.
> A big recovery in car and two-wheeler demand is good for Lumax Industries. It is expanding capacities and cutting costs. The stock is reasonably priced at Rs. 1355 against its yearly high Rs. 1695. Buy for the long term.
> TVS Motors two-wheeler sales grew by 21% to 311,519 units in November 2020 (YOY). The share price may rise in tandem to rising sales. Add
> Reliance Capital’s creditors are envisioning at least six bids for stake sale. No risk no gain. Risk bearing investors may enter.
> Vedanta is keen to acquire the Govt’s stake in SCI which is on its way to divestment. SCI was once an investors’ darling and with assured business from Vedanta, it may regain its lost glory. A good buying opportunity for smart investors
> Britannia MD, Mr. Varun Berry, told the media that its ‘Good Day’ and ‘Tiger’ biscuits recorded high sales growth in the last few months. Add this FMCG stock at every decline.
> Tata Elexi, which posted a 56% higher Q2 FY21 profits, is reportedly faring well with big orders in hand. A nice share to add.
> Laurus Labs, manufacturer of APIs, plans huge capex over two years. The expanded capacities will augur well for the Company. The share has potential to rise further. Add.
> Tata Steel is rising on a surge in demand and rise in product prices. Add.
> Wipro has won a deal from Verifone of USA to develop Cloud features for their various service offerings. A positive for the Company. Add.
> Bajaj Auto witnesses growing sales volumes as two and three wheelers touch pre-Covid levels. The valuations will also catch up soon. Add.
> JSW Steel has not only raised its bid by Rs. 400 cr. to Rs. 19,750 cr. to buy Bhushan Power & Steel but will also make upfront payment. This big addition to its capacity augurs well for it. Buy.
> Meghmani Organics into Agrochemicals and Pigments has begun production of Herbicide 2 and 4D Acid. It will now set up a Rs. 25 cr. Agrochemical Formulation plant and plans to set up a Rs.310 cr. multipurpose plant while demerging its businesses into three separate entities to boost shareholder value. Buy for 25% gain.
> Angel Broking, 4th largest stock broker, has notched 295% higherQ2FY21 EPS of Rs.11 and 404% higher H1 EPS of Rs 17 on its enlarged capital of Rs 81.8 cr. post IPO at Rs 305/share. An FY21 EPS of Rs 40 and a P/E of 12.5x can take its share price to Rs 500. Discerning investors are cornering the stock. Buy
> Heavy investment buying is seen in UTI AMC from all quarters. It is the second largest AMC in terms of total AUM as of 30 June 2020 and accounts for 12.2% of the 89.7mn industry folios as of 31 March 2020. Buy for at least 20% appreciation.
> Mazagon Dock Shipbuilders, leading defence shipyard engaged in building and repairing of warships and submarines and other types of vessels for commercial clients, has an order book of around Rs 5, 4074 cr. that provides long-term revenue visibility. Buy for medium-to-long term gain.
> Titan Biotech, a leading manufacturer & exporter of Pharmaceuticals, Nutraceuticals, Food & Beverages etc. has notched 515% higher Q2FY21 net profit and 407% higher H1 net profit. Going by the trend, it can notch an EPS of Rs 40-45 in FY21. Buy for 50% appreciation.
> Deepak Fertilizers & Chemicals undergoing a major expansion, has notched much higher Q2 H1 EPS and may post FY21 EPS of Rs 40 thanks to higher margins and higher demand on the back of a good Kharif projection. A conservative P/E of 5.5x will boost its share price to Rs 220 in the medium term. Buy.
> China, the biggest importer of rice, has started importing Indian rice for the first time in decades as global supplies tighten. LT Foods and KRBL could be in focus in the coming months.
> Kopran Ltd. has given a multiyear breakout on the charts. Fundamentally too, it is doing well posting excellent financials. Major surprises likely with many new molecules in the pipeline + USFDA/EU approvals. The stock can see significant re-rating.
> Tata Chemicals has risen nearly 20% with Tata Sons raising its stake by open market purchases. Keep an eye on the stock and accumulate it on declines for the long term.
> With cement giants like Ultratech announcing capex to meet the growing demand in coming years, cement companies like NCL Industries, Digvijay Cement, JK Lakshmi should be accumulated at every decline.
Disclaimer: The views and investment tips expressed by investment experts on Money Times are their own; however ExpresPost.in does not guarantee the accuracy, adequacy or completeness of any information. Readers are advised to check with certified experts before taking any investment decision.